We study the relationship between cross border flows and risks to macroeconomic stability for a sample of ten major emerging market economies (EMEs) from 2000-2017 in the presence of external shocks. We examine this relationship with a focus on two key channels of cross border flows, namely...

Negative equity market reactions at the onset of the Covid-19 crisis raised concerns about the vulnerabilities in non-financial firms, requiring swift actions by central banks to prevent system-wide stresses. We investigate the Indian context, where the announcement of a surprise, nationwide...